The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1887-06-22

Bank. The deeds to Mr. Harper were made
Sept 16 last. but were not recorded. There is
much uncertainty necessarily concerning the as
sets and liabilities of Mr.. Harper. One author
itv places his individual liabilities So. 600. 900
and his partnership liability at the same sum-
The estimate of assets is even more uncertain.
1t is understood that the afidavits upon which
the arrests were made do not cover all trans
actions of that kind, and that further charges
will be made the examination proceeds.
The Fidelity National Bank has had an almost
phenomenal success. 1t was formed out of the
Fidelity Safe Deposit Company, its stock rising
almost at once to 150 Its last statement. May
3D. 1887 showed:
Loans and discounts 500. O2L25
Due from private banks and bankers 725, $50. IS
FO1ncl resources I,o1f 1000
Its individual deposits were then So 49,. 44Z7 TO-
Mr. Harper is about thirty-nine years old, 10 q
native of Pennsylvania, and came here in 1872,
and engaged in the sewing machine business. He
then went into the iron business, where he soon
became wealthy. He also made large amount
by the Handy speculation, in Chicago, few
years ago. He has had the reputation of being
a bold operator.
kins were for a long time connected with the
Third National Bank of this city, and left that
bank to go into the Fidelity at time when there
was some sort of misunderstanding in the Third
National, which has never been clearly ex-
planned.
It was the expectation last night that reor-
ganization could be made this morning. with
Mr. W. H. Chatield as president. and that in
case that was done. assistance would be at hand
to sustain the bank under its new management
Hence the city papers refrained from speaking
of the impending trouble this morning.
Everywhere tonight the one subject Of
versaton is the failure of the great bank. It il
peculiar feature that it is generally recognized
as not bank failure. but NAL administration
of portion of its officers. without the knowl-
edge of the president and directors. Mr. Briggs
Swift. the president, has been known as one of
the most conservative of men. but 1t is said he
mas not been active in the management. that
duty having devolved Mr.. Harper. Within
the past month he has been irving to
ascertain what: was being done. but has been
pretty successfully thwarted. While the three
accused officers popular men, especially
Messrs. Harper and Hopkins, there is no limit
to the condemnation of the use of the banks
funds or credit in speculative ventures. To-
night, as the situation is discussed, the feeling
grows stronger that revelations
remain to be made Of course this is mere
conjecture, but it is based the
fact that the bank examiner SO earlv in his ex-
animation. took the great responsibility of caus-
ing the arrest OF these three men, when the
punishment, in of conviction, is imprison-
ment in the penitentiary.
Talk among bankers as to the effect on the
other banks is all of cheerful tore and none ex-
pect any trouble. They say this result has been
expected, and they are prepared for it.
CHICAGO. June 21-The news of the closing
of the Fidelity National Bank. of Cincinnati,
created no excitement here The prevailing
opinion among local bankers is that its closing
will not affect Chicago banks in any way. Tho
American Exchange Bank and the Bank of
Montreal are said to be the only banks here that
have any of their drafts. and it is claimed they
are fully protected. Among friends of the
Fidelity Bank here it was said that the bank
had merely closed for reorganization, that
Harper and his assistants had been removed,
and that the examination which went all last
night had so far proved very satisfactory. If it
should continue So it was said that strong par !
ties from New York would put In ample money .
to carry the bank Through.
What Is K nown at Washington.
WASHINGTON, June 2L-The Comptroller of ,
the Currency to-day received a telegram from
Mr.. Powell, the regular bank examiner for the .
Western district of Ohio. saying that he had :
taken charge of the Fidelity National Bank of
Cincinnati, O.. insolvent institution. No
particulars are given. Comptroller Trenholm
says that it is not likely that the exact condition
of the bank can be ascertained inside of two /
weeks. He said: ''Rumors about this bank in /
connection with the collapse of the wheat cor
ner in Chicago. re been widely published, and
for q week past the bank examiner has been
either in Cincinnati or within easy reach Of it,
under Instructions to watch the situation closely
without doing anything to attract attention or
to dscredit the bank, but be ready to step IN
upon any appearance justifyng interven ton.
On the 10th inst. wrote a letter the Fidelity
o'clock train Of that day, in which letter asked
for a candid statement as TO the banks condition
and IMPLICATIONS. also offered if so request
ed by telegraph. to send to the assistance Of the
directors experienced and able examiner
from of the Eastern cities The request
was not made, and the answer by letter dated
the 18th inst, indicated a confident opinion on
the part of the managers of the bank that they
would be able to go through all right. That il
all know about the situation at present."
It was subsequently ascertained that the liza
bilities of the bank. exclusive of capital stock
are about So. 500. 900. The individual deposits
are about So, 100000.